§ 709. — False advertising or misuse of names to indicate Federal agency.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 18USC709]
TITLE 18--CRIMES AND CRIMINAL PROCEDURE
PART I--CRIMES
CHAPTER 33--EMBLEMS, INSIGNIA, AND NAMES
Sec. 709. False advertising or misuse of names to indicate
Federal agency
Whoever, except as permitted by the laws of the United States, uses
the words ``national'', ``Federal'', ``United States'', ``reserve'', or
``Deposit Insurance'' as part of the business or firm name of a person,
corporation, partnership, business trust, association or other business
entity engaged in the banking, loan, building and loan, brokerage,
factorage, insurance, indemnity, savings or trust business; or
Whoever falsely advertises or represents, or publishes or displays
any sign, symbol or advertisement reasonably calculated to convey the
impression that a nonmember bank, banking association, firm or
partnership is a member of the Federal reserve system; or
Whoever, except as expressly authorized by Federal law, uses the
words ``Federal Deposit'', ``Federal Deposit Insurance'', or ``Federal
Deposit Insurance Corporation'' or a combination of any three of these
words, as the name or a part thereof under which he or it does business,
or advertises or otherwise represents falsely by any device whatsoever
that his or its deposit liabilities, obligations, certificates, or
shares are insured or guaranteed by the Federal Deposit Insurance
Corporation, or by the United States or by any instrumentality thereof,
or whoever advertises that his or its deposits, shares, or accounts are
federally insured, or falsely advertises or otherwise represents by any
device whatsoever the extent to which or the manner in which the deposit
liabilities of an insured bank or banks are insured by the Federal
Deposit Insurance Corporation; or
Whoever, other than a bona fide organization or association of
Federal or State credit unions or except as permitted by the laws of the
United States, uses as a firm or business name or transacts business
using the words ``National Credit Union'', ``National Credit Union
Administration'', ``National Credit Union Board'', ``National Credit
Union Share Insurance Fund'', ``Share Insurance'', or ``Central
Liquidity Facility'', or the letters ``NCUA'', ``NCUSIF'', or ``CLF'',
or any other combination or variation of those words or letters alone or
with other words or letters, or any device or symbol or other means,
reasonably calculated to convey the false impression that such name or
business has some connection with, or authorization from, the National
Credit Union Administration, the Government of the United States, or any
agency thereof, which does not in fact exist, or falsely advertises or
otherwise represents by any device whatsoever that his or its business,
product, or service has been in any way endorsed, authorized, or
approved by the National Credit Union Administration, the Government of
the United States, or any agency thereof, or falsely advertises or
otherwise represents by any device whatsoever that his or its deposit
liabilities, obligations, certificates, shares, or accounts are insured
under the Federal Credit Union Act or by the United States or any
instrumentality thereof, or being an insured credit union as defined in
that Act falsely advertises or otherwise represents by any device
whatsoever the extent to which or the manner in which share holdings in
such credit union are insured under such Act; or
Whoever, not being organized under chapter 7 of Title 12, advertises
or represents that it makes Federal Farm loans or advertises or offers
for sale as Federal Farm loan bonds any bond not issued under chapter 7
of Title 12, or uses the word ``Federal'' or the words ``United States''
or any other words implying Government ownership, obligation or
supervision in advertising or offering for sale any bond, note, mortgage
or other security not issued by the Government of the United States
under the provisions of said chapter 7 or some other Act of Congress; or
Whoever uses the words ``Federal Home Loan Bank'' or any combination
or variation of these words alone or with other words as a business name
or part of a business name, or falsely publishes, advertises or
represents by any device or symbol or other means reasonably calculated
to convey the impression that he or it is a Federal Home Loan Bank or
member of or subscriber for the stock of a Federal Home Loan Bank; or
Whoever uses the words ``Federal intermediate credit bank'' as part
of the business or firm name for any person, corporation, partnership,
business trust, association or other business entity not organized as an
intermediate credit bank under the laws of the United States; or
Whoever uses as a firm or business name the words ``Department of
Housing and Urban Development'', ``Housing and Home Finance Agency'',
``Federal Housing Administration'', ``Government National Mortgage
Association'', ``United States Housing Authority'', or ``Public Housing
Administration'' or the letters ``HUD'', ``FHA'', ``PHA'', or ``USHA'',
or any combination or variation of those words or the letters ``HUD'',
``FHA'', ``PHA'', or ``USHA'' alone or with other words or letters
reasonably calculated to convey the false impression that such name or
business has some connection with, or authorization from, the Department
of Housing and Urban Development, the Housing and Home Finance Agency,
the Federal Housing Administration, the Government National Mortgage
Association, the United States Housing Authority, the Public Housing
Administration, the Government of the United States, or any agency
thereof, which does not in fact exist, or falsely claims that any
repair, improvement, or alteration of any existing structure is required
or recommended by the Department of Housing and Urban Development, the
Housing and Home Finance Agency, the Federal Housing Administration, the
Government National Mortgage Association, the United States Housing
Authority, the Public Housing Administration, the Government of the
United States, or any agency thereof, for the purpose of inducing any
person to enter into a contract for the making of such repairs,
alterations, or improvements, or falsely advertises or falsely
represents by any device whatsoever that any housing unit, project,
business, or product has been in any way endorsed, authorized,
inspected, appraised, or approved by the Department of Housing and Urban
Development, the Housing and Home Finance Agency, the Federal Housing
Administration, the Government National Mortgage Association, the United
States Housing Authority, the Public Housing Administration, the
Government of the United States, or any agency thereof; or
Whoever, except with the written permission of the Director of the
Federal Bureau of Investigation, knowingly uses the words ``Federal
Bureau of Investigation'' or the initials ``F.B.I.'', or any colorable
imitation of such words or initials, in connection with any
advertisement, circular, book, pamphlet or other publication, play,
motion picture, broadcast, telecast, or other production, in a manner
reasonably calculated to convey the impression that such advertisement,
circular, book, pamphlet or other publication, play, motion picture,
broadcast, telecast, or other production, is approved, endorsed, or
authorized by the Federal Bureau of Investigation; or
Whoever, except with written permission of the Director of the
United States Secret Service, knowingly uses the words ``Secret
Service'', ``Secret Service Uniformed Division'', the initials
``U.S.S.S.'', ``U.D.'', or any colorable imitation of such words or
initials, in connection with, or as a part of any advertisement,
circular, book, pamphlet or other publication, play, motion picture,
broadcast, telecast, other production, product, or item, in a manner
reasonably calculated to convey the impression that such advertisement,
circular, book, pamphlet or other publication, product, or item, is
approved, endorsed, or authorized by or associated in any manner with,
the United States Secret Service, or the United States Secret Service
Uniformed Division; or
Whoever, except with the written permission of the Director of the
United States Mint, knowingly uses the words ``United States Mint'' or
``U.S. Mint'' or any colorable imitation of such words, in connection
with any advertisement, circular, book, pamphlet, or other publication,
play, motion picture, broadcast, telecast, or other production, in a
manner reasonably calculated to convey the impression that such
advertisement, circular, book, pamphlet, or other publication, play,
motion picture, broadcast, telecast, or other production, is approved,
endorsed, or authorized by or associated in any manner with, the United
States Mint; or
Whoever uses the words ``Overseas Private Investment'', ``Overseas
Private Investment Corporation'', or ``OPIC'', as part of the business
or firm name of a person, corporation, partnership, business trust,
association, or business entity; or
Whoever, except with the written permission of the Administrator of
the Drug Enforcement Administration, knowingly uses the words ``Drug
Enforcement Administration'' or the initials ``DEA'' or any colorable
imitation of such words or initials, in connection with any
advertisement, circular, book, pamphlet, software or other publication,
play, motion picture, broadcast, telecast, or other production, in a
manner reasonably calculated to convey the impression that such
advertisement, circular, book, pamphlet, software or other publication,
play, motion picture, broadcast, telecast, or other production is
approved, endorsed, or authorized by the Drug Enforcement
Administration; or
Whoever, except with the written permission of the Director of the
United States Marshals Service, knowingly uses the words ``United States
Marshals Service'', ``U.S. Marshals Service'', ``United States
Marshal'', ``U.S. Marshal'', ``U.S.M.S.'', or any colorable imitation of
any such words, or the likeness of a United States Marshals Service
badge, logo, or insignia on any item of apparel, in connection with any
advertisement, circular, book, pamphlet, software, or other publication,
or any play, motion picture, broadcast, telecast, or other production,
in a manner that is reasonably calculated to convey the impression that
the wearer of the item of apparel is acting pursuant to the legal
authority of the United States Marshals Service, or to convey the
impression that such advertisement, circular, book, pamphlet, software,
or other publication, or such play, motion picture, broadcast, telecast,
or other production, is approved, endorsed, or authorized by the United
States Marshals Service;
Shall be punished as follows: a corporation, partnership, business
trust, association, or other business entity, by a fine under this
title; an officer or member thereof participating or knowingly
acquiescing in such violation or any individual violating this section,
by a fine under this title or imprisonment for not more than one year,
or both.
This section shall not make unlawful the use of any name or title
which was lawful on the date of enactment of this title.
This section shall not make unlawful the use of the word
``national'' as part of the name of any business or firm engaged in the
insurance or indemnity business, whether such firm was engaged in the
insurance or indemnity business prior or subsequent to the date of
enactment of this paragraph.
A violation of this section may be enjoined at the suit of the
United States Attorney, upon complaint by any duly authorized
representative of any department or agency of the United States.
(June 25, 1948, ch. 645, 62 Stat. 733; Sept. 21, 1950, ch. 967,
Sec. 3(a), 64 Stat. 894; Oct. 31, 1951, ch. 655, Sec. 22, 65 Stat. 719;
July 3, 1952, ch. 547, 66 Stat. 321; Aug. 2, 1954, ch. 649, title I,
Sec. 131, 68 Stat. 609; Aug. 27, 1954, ch. 1008, 68 Stat. 867; Pub. L.
90-19, Sec. 24(b), May 25, 1967, 81 Stat. 27; Pub. L. 90-448, title
VIII, Sec. 807(i), Aug. 1, 1968, 82 Stat. 545; Pub. L. 91-468, Sec. 5,
Oct. 19, 1970, 84 Stat. 1016; Pub. L. 95-630, title XVIII, Sec. 1804,
Nov. 10, 1978, 92 Stat. 3723; Pub. L. 99-204, Sec. 16, Dec. 23, 1985, 99
Stat. 1676; Pub. L. 100-690, title VII, Sec. 7079(a), Nov. 18, 1988, 102
Stat. 4406; Pub. L. 102-390, title II, Sec. 223, Oct. 6, 1992, 106 Stat.
1629; Pub. L. 103-322, title XXXII, Sec. 320911(a), title XXXIII,
Secs. 330004(3), 330016(2)(C), Sept. 13, 1994, 108 Stat. 2127, 2141,
2148; Pub. L. 104-294, title VI, Secs. 602(a), 604(b)(19), (41), Oct.
11, 1996, 110 Stat. 3503, 3507, 3509; Pub. L. 105-184, Sec. 7, June 23,
1998, 112 Stat. 522; Pub. L. 107-273, div. B, title IV,
Sec. 4002(a)(10), Nov. 2, 2002, 116 Stat. 1807.)
Historical and Revision Notes
Based on sections 264(v)(1), 583, 584, 585, 586, 587, 1128, 1318,
1441(d), 1731(d) of title 12, U.S.C., 1940 ed., Banks and Banking,
section 616(d) of title 15, U.S.C., 1940 ed., Commerce and Trade, and
section 1426 of title 42, U.S.C., 1940 ed., The Public Health and
Welfare (R.S. Sec. 5243; Dec. 23, 1913, ch. 6, Sec. 12B(v), as added
June 16, 1933, ch. 89, Sec. 8, 48 Stat. 178; July 17, 1916, ch. 245,
Sec. 211h, as added Mar. 4, 1923, ch. 252, Sec. 2, 42 Stat. 1461; Mar.
4, 1923, ch. 252, title II, Sec. 216, 42 Stat. 1471; May 24, 1926, ch.
377, Secs. 1-4, 44 Stat. 628; Jan. 22, 1932, ch. 8, Sec. 16(d), 47 Stat.
12; July 22, 1932, ch. 522, Sec. 21, 47 Stat. 738; June 27, 1934, ch.
847, Sec. 512, 48 Stat. 1265; Aug. 23, 1935, ch. 614, Secs. 101, 203a,
318, 332, 49 Stat. 684, 704, 712, 719; Apr. 21, 1936, ch. 244, 49 Stat.
1237; Sept. 1, 1937, ch. 896, Sec. 26, 50 Stat. 899; Feb. 3, 1938, ch.
13, Secs. 9, 10, 52 Stat. 24, 25; June 28, 1941, ch. 261, Sec. 10, 55
Stat. 365).
Numerous sections were consolidated with changes both of phraseology
and substance necessary to effect consolidation.
The proviso of section 585 of said title 12 was omitted, since the
consolidated section obviously cannot be construed as forbidding Federal
agencies, boards, and corporations from using their legal names. The
right to continue the use of a name, lawful on the effective date of
this section, is preserved.
Last paragraph is based upon section 587 of said title 12. Words
``At the suit of'' were substituted for ``at the instance of''. United
States Attorneys are the chief law officers of the districts. United
States v. Smith, 1895, 15 S. Ct. 846, 158 U.S. 346, 39 L. Ed. 1011;
McKay v. Rogers, C. C. A. Okl. 1936, 82 F. 2d 795. Federal courts will
not recognize suits on behalf of the United States unless the Government
is represented by a United States Attorney. Confiscation cases, La.
1868, 7 Wall. 454, 19 L. Ed. 196.
The words ``any duly authorized representative of any department or
agency of the United States'' were substituted for the enumeration of
agencies which may make complaint thus making the provision more
flexible and less cumbersome.
This consolidated section reconciles the disparities and
inconsistencies of 12 sections; thus providing a harmonious scheme for
the punishment of similar offenses.
The punishment provision was drawn from section 587 of title 12,
U.S.C., 1940 ed., Banks and Banking, but is in substance and effect the
same as in sections 264v(1), 1441(d) and 1731(d) of said title 12, but
the civil penalty of $50 per day which was in sections 583, 1128, and
1318 of said title 12, was omitted as inconsistent with later acts
dealing with similar offenses. Too often actions to recover civil
penalties result in judgments which cannot be collected, and yet as long
as they remain uncollected they clog the administration of justice.
It was necessary to substitute a fine in place of a $50 per diem
penalty for business entities embraced in sections 583, 1128, and 1318
of said title 12, and fine and imprisonment for individuals responsible
for such violations. Similarly the penalty of $1,000 fine in section
1426 of title 42, The Public Health and Welfare, was changed to permit
alternative fine or imprisonment for individuals responsible for
violation.
References in Text
The Federal Credit Union Act, referred to in text, is act June 26,
1934, ch. 750, 48 Stat. 1216, as amended, which is classified generally
to chapter 14 (Sec. 1751 et seq.) of Title 12, Banks and Banking. For
complete classification of this Act to the Code, see section 1751 of
Title 12 and Tables.
Chapter 7 of Title 12, referred to in text, which contained the
Federal Farm Loan Act (act July 17, 1916, ch. 245, 39 Stat. 360) as
amended, was classified principally to section 641 et seq. of Title 12.
The Federal Farm Loan Act, as amended, was repealed by section 5.26(a)
of the Farm Credit Act of 1971, Pub. L. 92-181, Dec. 10, 1971, 85 Stat.
624. Section 5.26(a) of the Farm Credit Act of 1971 also provided that
all references in other legislation to the Acts repealed thereby ``shall
be deemed to refer to comparable provisions of this Act''. For further
details, see notes under section 2001 of Title 12. For complete
classification of the Federal Farm Loan Act to the Code prior to such
repeal, see Tables.
The date of enactment of this title, referred to in fifteenth par.,
means June 25, 1948.
The date of enactment of this paragraph, referred to in penultimate
par., means July 3, 1952.
Amendments
2002--Pub. L. 107-273, in thirteenth par., substituted ``Whoever''
for ``A person who'' and inserted ``or'' at end.
1998--Pub. L. 105-184 inserted fourteenth par. that extended
prohibitions of section to unauthorized use of term ``United States
Marshals Service'' or any colorable imitation, or likeness of a United
States Marshals Service badge, logo, or insignia on any item of apparel.
1996--Pub. L. 104-294, Sec. 604(b)(41), amended directory language
of Pub. L. 103-322, Sec. 330004(3). See 1994 Amendment note below.
Pub. L. 104-294, Sec. 604(b)(19), amended directory language of Pub.
L. 103-322, Sec. 320911(a). See 1994 Amendment notes below.
Pub. L. 104-294, Sec. 602(a), which directed amendment of this
section by striking out ``Whoever uses as a firm or business name the
words `Reconstruction Finance Corporation' or any combination or
variation of these words--'', could not be executed because that
language did not appear in text subsequent to amendment by Pub. L. 103-
322, Sec. 330004(3), as amended. See 1994 Amendment note below.
1994--Pub. L. 103-322, Sec. 330016(2)(C), substituted ``fine under
this title'' for ``fine of not more than $1,000'' in two places in par.
relating to punishment.
Pub. L. 103-322, Sec. 330004(3), struck out seventh par. which read
as follows: ``Whoever uses the words `National Agricultural Credit
Corporation' as part of the business or firm name of a person,
corporation, partnership, business trust, association or other business
entity not organized under the laws of the United States as a National
Agricultural Credit Corporation; or''.
Pub. L. 103-322, Sec. 330004(3), as amended by Pub. L. 104-294,
Sec. 604(b)(41), struck out fourteenth par. which read as follows:
``Whoever uses as a firm or business name the words `Reconstruction
Finance Corporation' or any combination or variation of these words--''.
Pub. L. 103-322, Sec. 320911(a)(2), as amended by Pub. L. 104-294,
Sec. 604(b)(19), which directed the insertion of a new par. relating to
use of the words ``Drug Enforcement Administration'' or the initials
``DEA'' after the fourteenth unnumbered par. was executed by inserting
such par. after the twelfth par. relating to the Overseas Private
Investment Corporation, to reflect the probable intent of Congress and
amendments by Pub. L. 103-322, Sec. 330004(3). See above.
Pub. L. 103-322, Sec. 320911(a)(1), as amended by Pub. L. 104-294,
Sec. 604(b)(19), which directed the substitution of ``words; or'' for
``words--'' in the fourteenth unnumbered par., could not be executed
because that par. was struck out by Pub. L. 103-322, Sec. 330004(3). See
above.
1992--Pub. L. 102-390 inserted par. prohibiting unauthorized use of
the terms ``United States Mint'' or ``U.S. Mint''.
1988--Pub. L. 100-690 inserted provision prohibiting unauthorized
use of words ``Secret Service'' or ``Secret Service Uniformed
Division'', the initials ``U.S.S.S.'' or ``U.D.'', or other colorable
imitation of such words or initials.
1985--Pub. L. 99-204 extended prohibitions of this section to use of
``Overseas Private Investment'', ``Overseas Private Investment
Corporation'' and ``OPIC''.
1978--Pub. L. 95-630 in fourth par., inserted provisions expanding
the scope of the prohibition to include anyone, other than a bona fide
organization or association of Federal or State credit unions or except
as permitted by the laws of the United States, who misuses a firm or
business name or transacts business using ``National Credit Union'',
``National Credit Union Administration'', ``National Credit Union
Board'', ``National Credit Union Share Insurance Fund'', ``Share
Insurance'', or ``Central Liquidity Facility'', or ``NCUA'', ``NCUSIF'',
or ``CLF'', or any other combination or variation of those words or
letters reasonably calculated to convey the false impression that such
name or business has some connection with or authorization from the
National Credit Union Administration, the Government of the United
States, or any agency thereof or represents by any device whatsoever
that his business, product, or service is in any way endorsed,
authorized, or approved or that he is in any way insured by the National
Credit Union Administration, the Government of the United States, or any
agency thereof.
1970--Pub. L. 91-468 extended prohibition of this section to include
practices which would falsely represent that assets are insured by the
Federal Credit Union Act.
1968--Pub. L. 90-448, in ninth par., substituted ``Government
National Mortgage Association'' for ``Federal National Mortgage
Association'' wherever appearing.
1967--Pub. L. 90-19 extended prohibition of ninth par. to misuse of
names ``Department of Housing and Urban Development'' and ``United
States Housing Authority'' and symbols ``HUD'', ``PHA'', and ``USHA''.
1954--Act Aug. 27, 1954, brought the use of the name or initials of
the Federal Bureau of Investigation within the ban of the section.
Act Aug. 2, 1954, in ninth par., inserted references to the Housing
and Home Finance Agency, the Federal National Mortgage Association, and
FHA, and inserted provisions relating to false claims made with respect
to repairs, alterations, or improvements.
1952--Act July 3, 1952, permitted use of ``national'' as a part of
the name of an insurance or indemnity company in penultimate par.
1951--Act Oct. 31, 1951, in ninth par., inserted ``Public Housing
Administration'' in lieu of ``United States Housing Authority'', and
inserted ``Public Housing Administration,'' after ``Federal Housing
Administration''.
1950--Act Sept. 21, 1950, in third par., made subject to provisions
of this section whoever advertises that his or its deposit liabilities,
obligations, certificates, or shares are federally insured.
Effective Date of 1996 Amendment
Amendment by section 604(b)(19), (41) of Pub. L. 104-294 effective
Sept. 13, 1994, see section 604(d) of Pub. L. 104-294, set out as a note
under section 13 of this title.
Effective Date of 1994 Amendment
Section 320911(b) of Pub. L. 103-322 provided that: ``The amendment
made by subsection (a) [amending this section] shall become effective on
the date that is 90 days after the date of enactment of this Act [Sept.
13, 1994].''
Effective Date of 1988 Amendment
Section 7079(b) of Pub. L. 100-690 provided that: ``This section
[amending this section] shall take effect 90 days after the date of
enactment of this Act [Nov. 18, 1988].''
Effective Date of 1978 Amendment
Amendment by Pub. L. 95-630 effective Oct. 1, 1979, see section 1806
of Pub. L. 95-630, set out as an Effective Date note under section 1795
of Title 12, Banks and Banking.
Effective Date of 1968 Amendment
Amendment by Pub. L. 90-448 effective from and after a date, no more
than 120 days following Aug. 1, 1968, as established by the Secretary of
Housing and Urban Development, see section 808 of Pub. L. 90-448, set
out as an Effective Date note under section 1716b of Title 12, Banks and
Banking.
Effective Date of 1950 Amendment
Section 3(b) of act Sept. 21, 1950, provided that: ``The amendment
made by subsection (a) of this section [amending this section] shall
become effective on January 1, 1951.''
Transfer of Functions
For transfer of the functions, personnel, assets, and obligations of
the United States Secret Service, including the functions of the
Secretary of the Treasury relating thereto, to the Secretary of Homeland
Security, and for treatment of related references, see sections 381,
551(d), 552(d), and 557 of Title 6, Domestic Security, and the
Department of Homeland Security Reorganization Plan of November 25,
2002, as modified, set out as a note under section 542 of Title 6.
Functions, powers, and duties of Housing and Home Finance Agency,
Federal Housing Administration, and Public Housing Authority transferred
to Secretary of Housing and Urban Development who was authorized to
delegate such functions, powers, and duties to such officers and
employees of Department of Housing and Urban Development as the
Secretary may designate, see sections 3534 and 3535 of Title 42, The
Public Health and Welfare.
United States Housing Authority consolidated with other agencies
into Housing and Home Finance Agency and name of Authority changed to
Public Housing Administration by Reorg. Plan No. 3 of 1947, eff. July
27, 1947, 12 F.R. 4981, 61 Stat. 954, set out in the Appendix to Title
5, Government Organization and Employees.
Government National Mortgage Association
For creation, succession, and principal office, see section 1717 of
Title 12, Banks and Banking.
Section Referred to in Other Sections
This section is referred to in section 3056 of this title.
